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Getting rid of a loan using 0% credit card

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DBmoney
DBmoney Posts: 5 Forumite
Third Anniversary First Post
I have a loan which I wish to pay off using a 0% credit card. After receiving a settlement figure, the company tell me they can't/ won't accept a credit card payment. 1. Are they within their rights to do this? 2. If they are within their rights to do this, is there a work around?

Thanks in advance.

Comments

  • BoGoF
    BoGoF Posts: 7,098 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    1. Yes.

    2. You should have applied for a 0% money transfer card.
  • DBmoney
    DBmoney Posts: 5 Forumite
    Third Anniversary First Post
    Thanks BoGoF. I haven't actually applied for anything yet. I just had an offer on an existing credit card (currently with a £0 balance) for 30 months at 0%. Thought I might utilize this. I'll look at what you suggest Thank you.
  • DBmoney
    DBmoney Posts: 5 Forumite
    Third Anniversary First Post
    ....just checked and it appears that the same credit card are offering me money transfer - 30 months at 0% as well. Transfer fee is .5% higher, but that's not bad. I will save in the long run by doing this.

    My existing loan is for 15 years - I didn't realise!! I'll be paying a fortune! Took out the loan about 5 years ago and thought I was coming to the end. I had the shock of my life..... it was one of these point of sale loans - I really should have known better!
  • Candyapple
    Candyapple Posts: 3,384 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    DBmoney wrote: »
    ....just checked and it appears that the same credit card are offering me money transfer - 30 months at 0% as well. Transfer fee is .5% higher, but that's not bad. I will save in the long run by doing this.


    That's a good deal for an existing customer. Do you mind naming which card company that is with please?
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
  • Clive_Woody
    Clive_Woody Posts: 5,937 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    DBmoney wrote: »
    ....just checked and it appears that the same credit card are offering me money transfer - 30 months at 0% as well. Transfer fee is .5% higher, but that's not bad. I will save in the long run by doing this.

    My existing loan is for 15 years - I didn't realise!! I'll be paying a fortune! Took out the loan about 5 years ago and thought I was coming to the end. I had the shock of my life..... it was one of these point of sale loans - I really should have known better!
    If the original loan still has 10 yrs left to run, are you going to be able to pay this off in 30 months if you transfer it to a card?

    What is the interest rate after the 0% deal ends?
    "We act as though comfort and luxury are the chief requirements of life, when all that we need to make us happy is something to be enthusiastic about” – Albert Einstein
  • foxy-stoat
    foxy-stoat Posts: 6,879 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    DBmoney wrote: »
    My existing loan is for 15 years - I didn't realise!! I'll be paying a fortune! Took out the loan about 5 years ago and thought I was coming to the end. I had the shock of my life..... it was one of these point of sale loans - I really should have known better!

    Sorry what, how did you not realise it was for 15 years and not 5?

    How much is the balance of the loan and how much are you paying a month?
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